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What Happened To The VIX?!
"What's going on with the VIX?!"
That's a question I've heard half a dozen times at least since late last week.
The tenor of the inquiries escalated on Monday, for obvious reasons. The figure below uses the August 5 high print on Wall Street's "fear gauge" for maximum dramatic effect.
The damn thing nearly tripled from Friday at one point during this week's earliest trading, when it was up more than 40 vols.
I don't want to numb any minds with the tedious specifics, but as I wrote to a cur
Great illustration, great explanation. Thanks!
Risks that “‘first movers’ looking to short vol get their remaining fingers blown off” – indeed. Love it!
Playing that game seems vaguely like my past experiences with “fast women”…maybe even more costly!
Recently gave thought to buying some, but I’m not good at timing and every time I’ve bot VIX calls I end up eating them…so, stay content with just a lot of long duration treasury ETFs and a few modest index short positions & covered calls….